Renewable Fuel Bill Gets New Life

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(STATEHOUSE) - A proposal to require a commitment from Hoosier electric companies to use alternative fuels has new life in the general assembly.

Within two years, power companies would have to draw half-a-percent of their juice from renewable fuels such as wind or solar power. That quota would rise steadily to a 10% requirement in 2025.

Covington Representative Dale Grubb says that's a slower ramp-up than he originally proposed. He says he wants to ensure utilities can meet the goals without having to buy power from out of state.

The bill got stuck in committee on Grubb's first try, amid opposition from utilities. But the full House has added it to a clean-coal bill. The Senate passed a similar version, and both chambers say they expect agreement on a final bill.

The latest House version no longer gives utilities an escape clause if they claim they simply can't meet the quota. It does let state regulators grant an exemption if compliance would mean big rate hikes.

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